CE assets continue rose as Putin said he did not target other regions in Ukraine
Hungary to sell US dollar government bonds
While the Czech koruna weakened and returned above EUR/CZK 27.40, both the forint and the zloty benefited from easing tensions in Ukraine and strengthened by about 0.5% against the euro. A relief was apparent in equity markets as well, especially in case of Hungarian index (BUX) which gained nearly 5% in the last two sessions. Moreover, the Hungarian Debt Management Agency (ÁKK) used the window of opportunity of improved market conditions (10Y government bond yield fell by 14 bps in last seven days) and asked a group of foreign banks to organize a US dollar denominated bonds auction to raise funds to redeem about HUF 1385bn of foreign exchange debt in the last three quarters of this year (majority of the debt is due to third quarter).
Read the full report: FX Daily
KBC